Energy Services of America Corporation Announces Closing of Overallotment Option and Issuance of 261,000 Shares of Common Stock
HUNTINGTON, WEST VIRGINIA – February 24, 2026: Energy Services of America Corporation (NASDAQ: ESOA) has announced the successful closing of its overallotment option in connection with its recent public offering. This move resulted in the issuance of an additional 261,000 shares of common stock at a public offering price of \$11.50 per share, generating gross proceeds of approximately \$2.8 million for the company after deducting underwriting discounts and commissions, but before other expenses.
Key Points for Investors
- Completion of Overallotment Option: The underwriter exercised its right to purchase an extra 261,000 shares, which indicates strong market demand for ESOA’s equity and confidence in the company’s outlook.
- Capital Raised: The transaction brought in about \$2.8 million in net proceeds (before further expenses), potentially strengthening ESOA’s balance sheet and supporting future growth initiatives.
- Offering Details: The offering was conducted pursuant to an effective shelf registration statement on Form S-3 (File No. 333-280025), ensuring regulatory compliance and transparency for investors.
- Underwriter and Advisor: Lake Street Capital Markets, LLC served as the sole underwriter, while Roth Capital Partners acted as financial advisor, both lending further credibility to the offering process.
Important Information for Shareholders
- Dilution: The issuance of new shares increases the total shares outstanding, which may lead to dilution of existing shareholders’ equity. Investors should consider the impact on their ownership percentage and potential earnings per share.
- Use of Proceeds: While the specific application of funds is not detailed in the release, the capital raised will likely be used to support ongoing operations, strategic initiatives, or future projects in the company’s core markets.
- Potential Share Price Impact: The exercise of the overallotment option and the increased float could influence trading liquidity and market valuation in the near term.
About Energy Services of America Corporation
Energy Services of America Corporation is a Huntington, WV-based contractor and service provider operating primarily in the mid-Atlantic and Central regions of the United States. The company serves key sectors including natural gas, petroleum, water distribution, automotive, chemical, and power industries, with a workforce of over 1,500 employees. ESOA’s core values emphasize safety, quality, and production.
Forward-Looking Statements and Risks
The announcement contains forward-looking statements subject to a variety of risks and uncertainties, including but not limited to:
- Projections of revenues, earnings, margins, cash flows, and capital expenditures
- Expectations regarding business outlook, opportunities, and industry trends
- Dependence on customer business plans, commodity prices, and project awards
- Potential impact from regulatory or legislative changes
- Availability of labor, realization of backlog, and outcomes of pending legal proceedings
Investors are cautioned that actual results may differ materially from forward-looking statements due to these factors. The company does not undertake any obligation to update such statements in the future.
Contact Information
- Charles Crimmel, Chief Financial Officer, Treasurer and Corporate Secretary
- Email: [email protected]
- Phone: (304) 522-3868
Disclaimer: This article is for informational purposes only and does not constitute investment advice or a recommendation to buy or sell any securities. Investors should conduct their own due diligence and consult with their financial advisors before making investment decisions. Forward-looking statements in this article are subject to risks and uncertainties that may cause actual results to differ materially from projections.
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